Diane Holley, Editor
The Buyers Network is Published Monthly by
the Purchasing Division of the West
Virginia Department of Administration to Promote Better Value in Public Purchasing
Welcome to the July 2004 Issue of the The Buyers Network!
Articles in this Issue:
July 15th Deadline Approaches for State Agencies to Submit their Physical Inventory Certification
WV Purchasing Division Joins NIGP in Sponsoring Seminar on October 26-27
Security Addressed During Renovation
The Travel Bag: News and Tips from the State Travel Management Office
Purchasing Division Announces Change in Regard to the Purchase of Advertising
Purchasing Recognition Award Programs Continue
Emergency Procedures Reprinted as Reminder During Recent Flooding
Stephens Auto Serves as Contractor for Motor Vehicles and Police Cruisers
MONEYWISE...Tips for the Thrifty
What's State Government Buying?
Current Statewide Contract Update
Questions?...Just Ask Us!
July 15th Deadline Approaches for State
Submit their Physical Inventory Certification
Every July 15, state agencies are required to submit a certification to the Purchasing Division certifying that all of the agencys fixed assets with an acquisition value of $1,000 or more have been entered into the West Virginia Information Management System (WVFIMS) Fixed Assets System.
Assistant Director Ken Frye of the Program Services Section, who is now
overseeing the statewide fixed assets program, indicated that agencies are also required
to perform a physical inventory of its reportable fixed assets once every three years.
The agency inventory management coordinator must note on the certification each year, the date of the last physical inventory for that agency. Please note the requirements for this certification are in accordance with the West Virginia Code, §5A-3-35.
Each agency designates an agency inventory management coordinator, who is responsible for ensuring that the appropriate certifications and physical inventories are completed. It is a requirement of state law that each agency is to select an individual to serve in this capacity (West Virginia Code, §5A-3-34).
To assist these individuals in serving as agency inventory management coordinators, a valuable tool is offered, called the "Inventory Management and WVFIMS Fixed Asset Training Manual."
The Inventory Management and WVFIMS Fixed Assets Training Manual is available electronically at the Purchasing Divisions website at www.state.wv.us/admin/purchase/surplus.
"Some agencies continue to dispose of equipment improperly,"
said Frye. "State agencies should be reminded that all obsolete equipment, regardless
of cost, must be disposed of to the Surplus Property Unit of the Purchasing Division. It
is the responsibility of the agency inventory coordinators to inform all of their
employees within their agency of the proper disposition procedures."
Should you have questions or comments relating to inventory procedures or the proper disposition of equipment, please contact Ken Frye, Assistant Director of the Program Services Section, at 766-2626 or via e-mail at: firstname.lastname@example.org.
Please note that due to the Purchasing Division's reorganization, Ken Frye will be physically located at the division's Charleston office at 2019 Washington Street , East, on Tuesdays and Thursdays of each week.
"The Inventory Management and WVFIMS Fixed Assets Training Manual is a helpful tool for agency coordinators to use when preparing the proper documentation and taking the appropriate action in regard to their fixed assets," Frye said. "I look forward to meeting many of the agency inventory coordinators in the near future."
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Training Opportunity Available
WV Purchasing Division Joins NIGP in Sponsoring Seminar on October 26-27
In collaboration with the National Institute of Governmental Purchasing, Inc. (NIGP), the Purchasing Division is tentatively planning a training opportunity at Mountaineer Race Track and Gaming Center on October 26-27, 2004.
The eight-hour class is titled, "Adding Value to the Procurement Process." Intended for both the new and veteran purchasers, this seminar will focus on ways the professional purchaser adds value to the procurement process by illustrating how the purchase can enhance both the process and relations with customers and suppliers. Some topics of discussion include perspectives on value, identifying the customer, procurement goals, evaluating the process, streamlining the process, communication, value analysis techniques and short- and long-term strategies.
If interested in attending this training seminar, please e-mail Diane Holley at email@example.com or call at 558-0661, so that we can forward you additional details, including seminar cost and lodging information.
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In todays volatile times, we, as administrators, must make some difficult decisions in regard to the security of our employees and visitors.
As a result, during the recent renovation of the Purchasing Division office on Washington Street, we addressed the issue of security by installing an access only door to our main offices. In addition, a visitors log is now required for all visitors to the Purchasing Division.
Many public agencies and private businesses have implemented similar security systems to maintain better accountability of the individuals arriving and departing from their office buildings.
These steps are not to be construed as negative in any way. We have always welcomed our customers to make appointments to visit our staff to discuss issues of their concern.
It is not only the safety of our staff, but the safety of our visitors that we had in mind when making these security-related changes to our building.
I ask for your patience when our reception area staff requests that you sign in while your presence is being announced to the respective party you wish to see. Thank you for your cooperation.Back to the Top
Division Announces Change in Regard to the Purchase of Advertising
In accordance with a memorandum from Purchasing Director Dave Tincher on June 14, 2004, the purchase of advertising is no longer permitted to be made under the Purchasing Division Policies and Procedures Handbook, Section Nine: Sole Source Acquisitions. All purchases of advertising require competition and public advertisement at the appropriate levels in accordance with handbook procedures.
Additional instructions regarding Section Nine will be distributed soon.
Agency purchasers are reminded that West Virginia Code, §5A-3-13, requires all contracts to be approved 'as to form' by the West Virginia Attorney General's Office. The Attorney General's Office has previously advised that this provision only applies to contracts in excess of $10,000.Back to the Top
Dont forget your change
Last year, passengers left a total of $303,970 in loose change at airport metal detectors.
The U.S. Treasury gets the money. Los Angeles International Airport, the nations fourth-busiest, raked in the most, $16,857, says the Transportation Security Administration.
The busiest airport, Atlantas Hartsfield-Jackson, had only $4,551. Las Vegas McCarran, thanks to its slot machines, found $14,709.
Next time you forget your change, just consider it a donation to the national debt, say the editors of Business Week.
Implants and security alarms
Implants such as cobalt-chrome hip replacements always set off airport metal detectors. Cobalt chrome is often used in implants with hip and knee replacements being the most common.
The Transportation Security Administration says that with todays more sensitive equipment, its very common that people get stopped. Screeners resolve the alarm with a hand wand or pat down to find out what set off the detector.
Of implants surveyed by United Kingdom researchers, 70 percent say they werent told their implant could set off security devices.
Questions regarding state travel issues should be directed to State Travel Manager Catherine DeMarco at firstname.lastname@example.org.
Back to the TopPurchasing Recognition Award Programs Continue
The Purchasing Division is pleased to continue a worthwhile recognition program that began several years ago and is going strong.
Nominations for the Agency Procurement Officer of the Year and the Partner in Purchasing award programs, sponsored by the Purchasing Division, are being accepted through July 16, 2004. Agency procurement officers were mailed detailed information, along with the nomination forms; however, the forms are also available electronically on the Purchasing Divisions Intranet website at:http://intranet.state.wv.us/admin/purchase/recognition
The Agency Procurement Officer of the Year program recognizes individuals who have demonstrated high levels of performance and professionalism. This program provides an avenue for agency procurement officers to nominate co-workers and colleagues who have served as role models in the purchasing profession.
An evaluation team will select the Agency Procurement Officer of the Year based on the established criteria. Past winners of this award include Edi Barker (BEP); Susie Teel (DHHR); Lt. Col. Jim Powers (State Police); Jo Miller (DHHR); Lendin Conway (DEP); Ratha Boggess (Treasurers Office) and Syble Adkins (Tax).
In addition, the Purchasing Division is accepting nomination forms for our Partner in Purchasing program, which recognizes individuals who have demonstrated high levels of performance and professionalism in working with various programs administered by the Purchasing Division: Capitol Parking, Fleet Management, Fixed Assets, Surplus Property, TEAM and Travel Management.
A similar criteria has been established to assist those making the nominations. As with the Procurement Officer of the Year award, the selection will be based solely on the information submitted on the nomination form.
An evaluation team will select the Partner in Purchasing based on the respective criteria. Past winners of this award include Brent Kessinger (DEP); Barbara Haddad (IS&C); Susie Teel (DHHR); June Casto (DEP); and Pat Hotsclaw (ABCC).
Due to the cancellation of this years purchasing conference, at which the recipient of this award has in the past been announced, the honored recipient of the Agency Procurement Officer of the Year and Partner in Purchasing will be recognized at a special ceremony at the Purchasing Division at a date yet to be announced.
All nomination forms for both award programs must be submitted no later than Friday, July 16, 2004 to: Diane Holley, Purchasing Division, 2019 Washington Street, East, P.O. Box 50130, Charleston, WV 25305-0130.
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In accordance with §15-5-6(g) of the West Virginia Code, the governor has the authority to suspend certain laws, rules and/or regulations regarding the acquisition of commodities and services by public organizations in the event the governor declares an emergency.
Public purchasing procedures were developed to be implemented by all public organizations in declared emergency situations. These procedures are to ensure that, even in emergency situations, public officials are to conduct business ethically and efficiently by seeking competition for commodities and services and maintaining complete documentation for all purchasing transactions.
Accordingly, should the Governor suspend said laws, rules and/or regulations, the following procedures shall apply:
1. The employees or representatives of the public organizations shall exercise sound judgment and discretion when acquiring commodities and services related to the emergency.
2. The employees or representatives of the public organizations shall operate with highest ideals of honor and integrity and strive to avoid the appearance of perceived impropriety.
3. No person shall corruptly combine, collude, or conspire with one or more persons to lessen competition, cause a higher price to be paid or cause one vendor to be preferred over one or more other prospective vendors.
4. No person shall solicit or receive anything of value, directly or indirectly, now or in the future, from any vendor or person supplying commodities or services in relation to the emergency.
5. The acquisition of commodities and services not on contract and in excess of $1,000 but less than $5,000 shall at all times be based on three competitive bids. Bids may be verbal but shall be summarized and documented and include the date of purchase, vendor, dollar amount, commodity or service description, quantity, number of bids obtained and whether the award was made to the low bidder.
6. The acquisition of commodities and services not on contract and in excess of $5,000 shall be based on three written bids which shall be documented and include the date of purchase, vendor, dollar amount, commodity or service description, quantity, number of bids obtained and whether the award was made to the low bidder.
7. If, in the opinion of the public organizations, using sound judgment and discretion, time does not permit written bids to be received, verbal bids shall be obtained and documented, with written bids received within five working days of the request.
8. The public organizations shall be responsible for developing specifica-tions for commodities and services that do not favor a particular brand or vendor.
9. If, in the opinion of the public organization, using sound judgment and discretion, time does not permit verbal bids to be received, the public organization must secure written approval from the agency head (mayor, county commissioner, governor, etc.) to secure necessary services and supplies without bids for only that period of time absolutely necessary to abate the emergency.
10. All purchase order and/or contract awards shall be made to the lowest, re-sponsible bidder meeting specifications.
11. Should the award not be made to the lowest priced bidder, a written justification shall be placed on file with the bids that documents the reason the low price was rejected. This justification must be signed by the head of the public organization.
12. Any contract and/or purchase order in excess of $100,000 shall be reviewed, approved and signed by the head of the public agency.
13. The public organizations shall document each expenditure and include specifications, bids, no-bids, award justifications and any other relevant data.
14. The documentation for each expenditure shall be complete and shall be kept in an orderly manner that will enable any interested party to understand specifics of the expenditure.
15. A complete written record of all expenditures relating to the emergency shall be submitted to the Governor within 30 days of the expiration of the declaration of the emergency.
16. The written record shall include a summary sheet that details all acquisitions for the emergency and lists date of purchase, vendor, dollar amount, commodity or service description, quantity, number of bids obtained and whether the award was made to the low bidder.
17. The Governor reserves the right to remove the spending authority at any time during the emergency and appoint a person or organization to manage the emergency expenditures and/or transfer that authority to another organization.
18. All emergency expenditures are subject to complete review and/or thorough audit as requested by the Governor.
19. The Governor reserves the right to amend, alter, or cancel these procedures as necessary through written amendments, alterations or cancellations with justification and documentation of specific situations and reasons.
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Originally incorporated in 1934 as a Ford dealership under Boone Motor Sales, Stephens Auto Center has been doing business with the state of West Virginia since 1997. It is one of the largest suppliers of motor vehicles.
Richard Stephens, General Manager of Stephens Auto Center, explains that he first became interested in the government fleet business after listening to his father talk about submitting a bid and selling motor vehicles to the state of Kentucky in the 70s.
His first few attempts to participate in the statewide motor vehicles contracts were unsuccessful. However, with a little determination and learning more about the competitive state purchasing process by attending the vendor conferences offered by the Purchasing Division, he gained better insight on the basic bid process. As a result, Stephens Auto was finally awarded their first statewide contract in 1997.
Currently, Stephens Auto Center joins other dealerships in serving the statewide contracts for motor vehicles and police cruisers.
Among some of the typical vehicles which Stephens Auto provides under contract are the Dodge Caravan, Ford Taurus, Jeep Liberty, Ford Crown Victoria and the Ford F550 truck.
"Now I understand the process better by having worked with it for some time as well as working closely with the people at the Purchasing Division," Stephens said. "It has been a pleasure doing business with the state of West Virginia. A great deal of our business is not just with state agencies, but with all the municipalities, counties and other political subdivisions who are able to piggyback off the state contracts. By doing this, they are able to benefit from that same product at a low price that they otherwise couldnt be able to get."
In 2002, Stephens was nominated for a Time Magazine Quality Dealer Award. About 70 dealers are nominated each year, from approximately 22,000 dealerships nationwide. He was nominated by the West Virginia Automobile Truck Dealer Association.
Stephens Auto Center is located on U.S. Route 119, Corridor G, Lory Road Exit in Danville, West Virginia. For more information, call (304) 369-2411 or visit its website at:
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Online Lender Right for You?
If you are looking for a mortgage and are a well-qualified borrower with no problems, getting a mortgage over the Internet could work fine for you. No-brainer loans are their speciality.
Dian Hymer, author of Starting Out, The Complete Home Buyers Guide, Chronicle Books, says if the loan is anything but simple, you would be better off using a conventional lender.
Be cautious. Those handling the loans are often not experienced. Borrowers should monitor the process every step of the way to be sure that fees are correct, that local laws are followed, and that the mortgage closes on time.
Make more than one application.Back to the Top What's the State Buying? (This information is compiled from the West Virginia Purchasing Bulletin. The purpose is to provide an awareness of the variety of products and services being procured in state government. Only a small sample of solicitations are listed.)
- All State Agencies
Request to provide food products to West Virginia agencies for an open-end contract.
- Department of Education
Request to provide linen service for Cedar Lakes at Ripley, West Virginia.
- Department of Environmental Protection
Request to move six DEP locations to its new Kanawha City location.
- Department of Environmental Protection
Request for a reclamation contract for 1 acre distrubance located near Malden, West Virginia (Kanawha County)
- Division of Highways
Request to install and/or replace traffic signal embedded inductive loops statewide.Back to the Top
Information and dates (as of June 15, 2004) included in this Current Statewide Contract Update are subject to change. If you need additional information, please contact the appropriate state buyer.Contracts Awarded Contract: CRENTAL
Are you unsure of certain purchasing procedures? ... Do you have a
question regarding travel requests? ... Would you want to know what surplus property is
available? ... If you need information concerning any function within the Purchasing
Division, complete this form: